“The enterprise telephony market continues to struggle as businesses hold off new PBX purchases. Companies are evaluating cloud alternatives and investing in unified communications (UC) applications instead of PBXs, and purchase cycles are getting longer,” notes Diane Myers, principal analyst for VoIP, UC, and IMS at Infonetics Research. “There is competitive pressure as well, but not as much as in the past.”

Myers adds: “North America again had the toughest quarter of all the regions, with a double digit decline from the year-ago third quarter.”

ENTERPRISE TELEPHONY MARKET HIGHLIGHTS

The worldwide PBX market—including TDM, hybrid, and pure IP—dipped 7% year-over-year in 3Q14, but is up 5% sequentially

In 3Q14, PBX license shipments are down 2% from 3Q13

The Asia Pacific region typically posts growth in Q3, and it didn’t disappoint, notching a double-digit revenue gain in 3Q14 from a year ago

Cisco, Avaya, NEC and Mitel lead the combined PBX and unified communications market in 3Q14 by global revenue